FBI (US Government) Uses Bitcoin Mixers

Over the last eight years, U.S. law enforcement has seized a great number of bitcoins and at one time, the Federal Bureau of Investigation (FBI) held one of the largest bitcoin wallets after the Silk Road takedown. A recently published report shows the FBI has started using cryptocurrency mixing applications in recent times in order to obfuscate transactions from seized bitcoins that stem from a forfeiture

The report shows that the FBI seized 39.67 from a man in Tucson, Arizona, and the case involved unauthorized SIM swaps. According to Davis’ findings, the FBI sent updates to the victims and “made it seem as if the cryptocurrency had been already sold.” However, blockchain data shows this wasn’t the case and the victims were told a “clerical error” was made.

The author also noted how the former U.S. Drug Enforcement Administration agent Carl Force and the former Secret Service agent Shaun Bridges stole money from the Silk Road case. Force was able to steal 1,200 BTC and Bridges was able to snag 3,100 bitcoin. “They would have gotten away with it if they had taken one extra precaution,” Davis said. “Their downfall was failing to use a tool called Bitcoin Blender

Related articles

Couple tried to launder $4.5B worth of stolen hacked Bitcoin from Bitfinex

Ilya Lichtenstein and Heather Morgan were arrested in New York and accused of laundering a record $4.5 billion worth of stolen cryptocurrency. In the 24 hours since, the cybersecurity world has ruthlessly mocked their operational […]

Learn More

Bitcoin stolen from twitter launder through BitBlender

“I am giving back to the community,” began a tweet sent out by a number of high-profile Twitter users including Elon Musk, Jeff Bezos, Bill Gates and former Vice President Joe Biden. And once inside […]

Learn More

Funds from South African exchange hack being ran through Bitcoin Blender

Cryptocurrency investors in South Africa may have lost nearly $3.6 billion in Bitcoin following the disappearance of two brothers associated with one of the country’s largest cryptocurrency exchanges. A law firm in Cape Town says […]

Learn More
Translate »